Todd Kahn

I want that unique call to action that you have to go to a coach coffee shop to buy this compelling coach coffee shop merchandise.

The other benefit, the linger time for the shoppers where there's a coach coffee shop is significantly increased.

So I don't just do coffee shops for marketing or social purposes.

It's really good business for us.

So you're exactly right.

So if I go back to FY19, right before I took over for the Coach brand, we were spending about 3% on marketing.

And that was true since the early 2000s through FY20.

We started to spend more, particularly first during COVID, digitally on lower funnel activity.

And we learned our way into it.

Today, the Coach brand spends 11% on marketing.

We're doing that mostly with mid to upper funnel, long format campaigns about the brand.

We find that that is compelling.

We are getting close to sufficiency in certain markets.

So it doesn't mean I have to spend 15 or 20%.

We are very disciplined on understanding what our ROI is on that spend.

So as I said to my CMO, we'll spend close to a billion dollars next year telling our story in long format fashion in key markets.

That's a moat for our brand and for Tapestry that not everybody can replicate.

And we are very focused on acquisition of new customers in our marketing stories.

That becomes very compelling.

So I think that gives us longevity, and we measure it.